TGT (Target) ROCE %: 11.97% (As of Apr. 2026)


TGT Target Corp TGT
77 GF Score
Price $139.57
GF Value $129.29
Valuation Fairly Valued
! 9 Warning Signs
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What is Target ROCE %?

Target TGT -1.15% 77 ROCE % is 11.97% as of Apr. 2026. GuruFocus rates TGT with a GF Score™ of 77/100 and a GF Value™ of $129.29 (Fairly Valued). The stock has 9 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Target's annualized ROCE % for the quarter that ended in Apr. 2026 was 11.97%.

Target  (NYSE:TGT) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Target ROCE % Related Terms

Target ROCE % Historical Data

* Premium members only.

The historical data trend for Target's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Target ROCE % Chart

Target Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.53 11.82 16.60 15.54 13.86

Target Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 16.16 14.08 10.07 14.62 11.97
TGT
77GF Score
Target Corp TGT
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Target ROCE % Calculation

Target's annualized ROCE % for the fiscal year that ended in Jan. 2026 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jan. 2026 )  (A: Jan. 2025 )(A: Jan. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jan. 2026 )  (A: Jan. 2025 )(A: Jan. 2026 )
=5212/( ( (57769 - 20799) + (59490 - 21230) )/ 2 )
=5212/( (36970+38260)/ 2 )
=5212/37615
=13.86 %

Target's ROCE % of for the quarter that ended in Apr. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Apr. 2026 )  (Q: Jan. 2026 )(Q: Apr. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Apr. 2026 )  (Q: Jan. 2026 )(Q: Apr. 2026 )
=4600/( ( (59490 - 21230) + (58010 - 19384) )/ 2 )
=4600/( ( 38260 + 38626 )/ 2 )
=4600/38443
=11.97 %

(1) Note: The EBIT data used here is four times the quarterly (Apr. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 11.97% mean?
Target (TGT) has a ROCE % of 11.97% as of Apr. 2026.
Is Target's ROCE % too high?
Target's current ROCE % is 11.97%. The Retail - Defensive industry median ROCE % is 8.98. Target's value of 11.97% is 33.3% above this industry median. Overall, Target has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Target's ROCE % compare to DG and DLTR?
Target's ROCE % of 11.97% can be compared against companies in the Retail - Defensive industry. The industry median ROCE % is 8.98. Target's value of 11.97% is 33.3% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Retail - Defensive company?
The median ROCE % among Retail - Defensive companies is 8.98, based on 307 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Target's current ROCE % of 11.97% is 33.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Retail - Defensive industry, the median ROCE % is 8.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Target's current ROCE % is 11.97%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Target stock overvalued right now?
Based on GuruFocus' analysis, Target (TGT) is currently considered Fairly Valued. The stock's GF Value™ is $129.29, compared to a current price of $139.57 — trading 8% above its estimated fair value. The current ROCE % is 11.97% and 33.3% above the Retail - Defensive industry median of 8.98. Target's overall GF Score™ is 77/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Target (TGT), the current ROCE % is 11.97% as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Target (TGT) Overvalued in 2026?

Based on GuruFocus' analysis, Target stock appears to be overvalued. The current stock price of $139.57 is trading 8% above its estimated GF Value™ of $129.29. GuruFocus considers Target to be Fairly Valued.

Key valuation signals for TGT:

  • ROCE %: 11.97%
  • GF Value™: $129.29 vs. price of $139.57 (8% above fair value)
  • GF Score™: 77/100 with 9 warning signs
  • Industry Position: 33.3% above the Retail - Defensive median

No single metric tells the full story. See the TGT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Target Business Description

Address 1000 Nicollet Mall, Minneapolis, MN, USA, 55403
Target's start dates back to 1962, but now it is one of the largest discount retailers in the United States (where it derives all of its sales), operating just under 2,000 stores and generating over $104 billion in fiscal 2025 sales. The company offers a broad assortment of merchandise across categories including apparel and accessories (16% of fiscal 2025 revenue), beauty and household essentials (30%), food and beverage (24%), hardlines (15%), as well as home furnishings (15%). Target's model is anchored in its physical store base, which fulfills more than 97% of sales. Around 30% of sales are derived from its own private-label brands.
77GF Score

Get the complete analysis for TGT

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$139.57
Price
$129.29
GF Value